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How to Boost Employee Retention Rate

Of all the metrics that companies should measure, there’s perhaps none quite as important as the employee retention rate. If this is high, then you know that you’re on the right track. If it’s low, then something is wrong. Losing employees doesn’t just impact your productivity; it can also cost you a lot of money since the cost of hiring and training a new employee can be significant.

The good news is that there are always things you do to push your employee retention rate in the right direction. We’ll look at some of the most effective methods below. 

Make Sure They’re The Right Fit 

You’ll find it much easier to keep an employee on board if they were the right person to hire in the first place. If they weren’t, then you can’t be too surprised if they leave earlier than you would have liked them to! So how do you ensure that the person you hire is correct for your company? It’s all about looking beyond the resume and checking if they’re the right cultural fit. Plus, you can also look at their previous employment history. If they have a habit of leaving a company after six months of employment, then it’ll be no surprise if they do the same to you.

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Ask for Feedback

All great relationships should be a two-way street. If you’re going to make your employees feel valued, then you have to be open to listening to them. They’ll be happy to provide plenty of feedback if they’re given the opportunity to do so. You might just learn about a few simple changes you could make that would seriously enhance the employee experience. Studies have shown that employees that feel they have some freedom over their time prefer working to those that don’t.

Ongoing Development

As much as you’d like to think otherwise, simply working for your company will not be the pinnacle of the employee’s career! The best employees want to continue to grow and develop. So it’s important that you’re creating a framework that makes this possible. There are plenty of ways you can do this. You can work with an HR consultancy company to provide bespoke training courses and learning opportunities. You can also create a pathway for your employees to step up into more senior positions. No one wants to feel like they’re stuck in a dead-end job!

Benefits and Salary

While people do look for professional development from their jobs, there’s no avoiding the fact that they also value a respectable salary and other benefits. If you’re not paying your staff the money that they deserve, then you can’t be too surprised if they look elsewhere. An upgraded salary is the primary reason why people look for work elsewhere. And benefits such as more time off and the like? They’re just nice bonuses that keep your staff happy. All these things do cost money, but it’s worth it — and will end up saving and making you money in the long run.

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